Hi room! Does Creditor have a backup plan to prevent data from getting stolen?
I don't think is is needed for blockchain network and smart contract

Such things already exist in working companies not on the blockchain. So I think combining this is not a problem here. The question is whether users need it. It seems to me the blockchain here does a completely different function.
I think security is one of the main advantages of blockchain, no one can attack the entire network. The need for data backup is essential, but just having a good smart contract, they will not need to be too concerned about this.